DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-54,371

BOSTON GEAR
DIVISION OF COLFAX CORPORATION
LOUISBURG, NORTH CAROLINA

Determinations Regarding Eligibility
To Apply for Worker Adjustment Assistance

In accordance with Section 223 of the Trade Act of 1974, as
amended (19 USC 2273), the Department of Labor herein presents the
results of an investigation regarding certification of eligibility
to apply for worker adjustment assistance. The group eligibility
requirements for directly-impacted (primary) workers under Section
222(a) the Trade Act of 1974, as amended, can be satisfied in
either of two ways:
I. Section (a)(2)(A) all of the following must be satisfied:
A. a significant number or proportion of the workers in
such workers' firm, or an appropriate subdivision of the
firm, have become totally or partially separated, or are
threatened to become totally or partially separated;
B. the sales or production, or both, of such firm or
subdivision have decreased absolutely; and
C. increased imports of articles like or directly
competitive with articles produced by such firm or
subdivision have contributed importantly to such workers'
separation or threat of separation and to the decline in
sales or production of such firm or subdivision; or


II. Section (a)(2)(B) both of the following must be satisfied:

A. a significant number or proportion of the workers in such
workers' firm, or an appropriate subdivision of the firm,
have become totally or partially separated, or are
threatened to become totally or partially separated;
B. there has been a shift in production by such workers' firm
or subdivision to a foreign country of articles like or
directly competitive with articles which are produced by
such firm or subdivision; and
C. One of the following must be satisfied:
1. the country to which the workers' firm has shifted
production of the articles is a party to a free trade
agreement with the United States;
2. the country to which the workers' firm has shifted
production of the articles is a beneficiary country under
the Andean Trade Preference Act, African Growth and
Opportunity Act, or the Caribbean Basin Economic Recovery
Act; or
3. there has been or is likely to be an increase in imports
of articles that are like or directly competitive with
articles which are or were produced by such firm or
subdivision.

The investigation was initiated on February 27, 2004 in
response to a petition filed on behalf of workers at Boston Gear, a
division of Colfax Corporation, Louisburg, North Carolina. Workers
at the subject firm are separately identifiable as workers who are
engaged in the production of speed reducer components and assembly
of speed reducers.
The investigation revealed that sales and production at the
subject firm declined absolutely with the cessation of operations
in August 2003.
It is determined in this case that the requirements of
(a)(2)(A) of Section 222 have been met for workers of Boston Gear,
a division of Colfax Corporation, Louisburg, North Carolina engaged
in the production of speed reducer components.
The investigation revealed an increase in company imports of
speed reducer components from 2002 to 2003 as well as during the
period of January through February 2004 when compared to the same
period in 2003.
However, the investigation revealed that criteria
(a)(2)(A)(I.C) and (a)(2)(B)(II.B) were not met for workers of
Boston Gear, a division of Colfax Corporation, Louisburg, North
Carolina engaged in the assembly of speed reducers.
The investigation revealed that the subject firm did not
import speed reducers during the relevant period.
Furthermore, the investigation revealed that the subject firm
did not shift the production of speed reducers abroad, but rather
to another domestic facility.
Conclusion
After careful review of the facts obtained in the
investigation, I determine that increases of imports of articles
like or directly competitive with speed reducer components produced
at Boston Gear, a division of Colfax Corporation, Louisburg, North
Carolina, contributed importantly to the total or partial
separation of workers and to the decline in sales or production at
that firm or subdivision. In accordance with the provisions of the
Act, I make the following certification:


"Workers of Boston Gear, a division of Colfax Corporation,
Louisburg, North Carolina engaged in the production of speed
reducer components, who became totally or partially separated
from employment on or after February 20, 2003 through two
years from the date of certification are eligible to apply for
adjustment assistance under Section 223 of the Trade Act of
1974;" and
I further determine that workers of Boston Gear, a division of
Colfax Corporation, Louisburg, North Carolina, engaged in the
assembly of speed reducers are denied eligibility to apply for
adjustment assistance under Section 223 of the Trade Act of 1974.
Signed in Washington, D. C. this 26th day of March 2004.
/s/ Linda G. Poole

______________________________
LINDA G. POOLE
Certifying Officer, Division of
Trade Adjustment Assistance